Canada Goose quarterly profit beats estimate

Luxury apparel maker Canada Goose Holdings Inc handily beat analysts’ quarterly profit estimates on Wednesday, driven by a strong demand for its luxury parkas, prompting the company to raise its forecast for the rest of the year.

U.S.-listed shares of the company, which have almost doubled in value this year thanks to a pair of surprisingly good results in previous quarters, were up 12.7 percent premarket.

The high-end outerwear company now expects revenue for fiscal 2019 to grow at least 30 percent. The company was earlier expecting growth of at least 20 percent.

Canada Goose, which sells parkas starting at $900, has sought to expand profit margins by growing its direct-to-consumer business and relying less on struggling department stores for sales.

Net income rose to C$49.9 million ($37.7 million) or 45 Canadian cents per share, in the second quarter ended Sept. 30, from C$37.1 million or 33 Canadian cents per share, a year earlier.

Excluding one-time items, the company earned 46 Canadian cents per share, beating analysts’ average estimate of 26 Canadian cents, according to IBES data from Refinitiv.

Revenue climbed to C$230.3 million from C$172.3 million.